WALTHAM, Mass.–(BUSINESS WIRE)–Thermo Fisher Scientific Inc. (NYSE: TMO), the world leader in serving science, today reported its financial results for the first quarter ended March 30, 2024.
First Quarter 2024 Highlights
- First quarter revenue was $10.34 billion.
- First quarter GAAP diluted earnings per share (EPS) increased 4% to $3.46.
- First quarter adjusted EPS increased 2% to $5.11.
- Advanced our proven growth strategy, launching a range of high-impact, innovative new products during the quarter. This included several analytical instruments: the Thermo Scientific™ Dionex™ Inuvion™ Ion Chromatography system, offering higher resolution, faster results, and streamlined workflows for identifying contaminants in water; the Thermo Scientific™ LInspector™ Edge In-line Mass Profilometer to enhance battery safety, performance and production; and the Thermo Scientific™ TruScan™ G3 Handheld Raman Analyzer, a next-generation handheld device for the rapid identification of chemical compounds used in drug production. We also launched the new Axiom™ PangenomiX Array, a high-throughput array for use in human genomic studies across global populations, including disease risk and detection research as well as population-scale disease research programs.
- Continued to strengthen our industry-leading commercial engine and deepen our trusted partner status with customers to accelerate innovation and enhance productivity with the ultimate goal of improving patient care. Examples during the quarter included the launch of the CorEvitas syndicated clinical registry in generalized pustular psoriasis to address an unmet need for real-world evidence related to outcomes for patients with this rare disease, and the expansion of our portfolio of services at our GMP lab in Middleton, Wisconsin to include qPCR-based biosafety testing capabilities to enable significantly faster results versus traditional testing methods. We also continued to collaborate with customers to improve health outcomes, developing next-generation sequencing-based companion diagnostics to help identify patients for precision cancer therapies.
- Active quarter of capital deployment, repurchasing $3.0 billion of stock and increasing our dividend by 11 percent.
“We are very pleased to deliver another quarter of strong financial results,” said Marc N. Casper, chairman, president and chief executive officer of Thermo Fisher Scientific. “We had a great start to the year, driven by our proven growth strategy and the impact of our PPI Business System.”
Casper added, “Our team continues to enable the success of our customers while demonstrating incredibly strong commercial execution and operational discipline. This positions us to deliver differentiated performance in 2024, as we continue to create value for all of our stakeholders and build an even brighter future for our company.”
First Quarter 2024
Revenue for the quarter declined 3% to $10.34 billion in 2024, versus $10.71 billion in 2023. Organic revenue was 4% lower and Core organic revenue growth declined 3%.
GAAP Earnings Results
GAAP diluted EPS in the first quarter of 2024 increased 4% to $3.46, versus $3.32 in the same quarter last year. GAAP operating income for the first quarter of 2024 grew to $1.66 billion, compared with $1.56 billion in the year-ago quarter. GAAP operating margin increased to 16.1%, compared with 14.6% in the first quarter of 2023.
Non-GAAP Earnings Results
Adjusted EPS in the first quarter of 2024 increased 2% to $5.11, versus $5.03 in the first quarter of 2023. Adjusted operating income for the first quarter of 2024 was $2.28 billion, compared with $2.33 billion in the year-ago quarter. Adjusted operating margin increased to 22.0%, compared with 21.8% in the first quarter of 2023.
Annual Guidance for 2024
Thermo Fisher is raising its full year revenue and adjusted EPS guidance to reflect stronger operational performance. The company is raising its revenue guidance to a new range of $42.3 to $43.3 billion versus its previous guidance of $42.1 to $43.3 billion. The company is raising its adjusted EPS guidance to a new range of $21.14 to $22.02 versus its previous guidance of $20.95 to $22.00.
Use of Non-GAAP Financial Measures
Adjusted EPS, adjusted net income, adjusted operating income, adjusted operating margin, free cash flow, organic revenue growth and Core organic revenue growth are non-GAAP measures that exclude certain items detailed after the tables that accompany this press release, under the heading “Supplemental Information Regarding Non-GAAP Financial Measures.” The reconciliations of GAAP to non-GAAP financial measures are provided in the tables that accompany this press release.
Note on Presentation
Certain amounts and percentages reported within this press release are presented and calculated based on underlying unrounded amounts. As a result, the sum of components may not equal corresponding totals due to rounding.
About Thermo Fisher Scientific
Thermo Fisher Scientific Inc. is the world leader in serving science, with annual revenue over $40 billion. Our Mission is to enable our customers to make the world healthier, cleaner and safer. Whether our customers are accelerating life sciences research, solving complex analytical challenges, increasing productivity in their laboratories, improving patient health through diagnostics or the development and manufacture of life-changing therapies, we are here to support them. Our global team delivers an unrivaled combination of innovative technologies, purchasing convenience and pharmaceutical services through our industry-leading brands, including Thermo Scientific, Applied Biosystems, Invitrogen, Fisher Scientific, Unity Lab Services, Patheon and PPD. For more information, please visit www.thermofisher.com.
